Allied Digital Services (NSE:ADSL) Debt-to-EBITDA : -8.44 (As of Mar. 2026)

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

NSE:ADSL Allied Digital Services Ltd NSE:ADSL
78 GF Score
Price ₹114.64
GF Value ₹214.32
Valuation Significantly Undervalued
! 4 Warning Signs
View Full Analysis

What is Allied Digital Services Debt-to-EBITDA?

Allied Digital Services NSE:ADSL +0.64% 78 Debt-to-EBITDA is -8.44 as of Mar. 2026. GuruFocus rates NSE:ADSL with a GF Score™ of 78/100 and a GF Value™ of ₹214.32 (Significantly Undervalued). The stock has 4 warning signs investors should review. Among 1,725 Software companies, Allied Digital Services ranks worse than 61.74% on this metric.

Debt-to-EBITDA measures a company's ability to pay off its debt.

Allied Digital Services's Short-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2026 was ₹710 Mil. Allied Digital Services's Long-Term Debt & Capital Lease Obligation for the quarter that ended in Mar. 2026 was ₹651 Mil. Allied Digital Services's annualized EBITDA for the quarter that ended in Mar. 2026 was ₹-161 Mil. Allied Digital Services's annualized Debt-to-EBITDA for the quarter that ended in Mar. 2026 was -8.44.

A high Debt-to-EBITDA ratio generally means that a company may spend more time to paying off its debt. According to Joel Tillinghast's BIG MONEY THINKS SMALL: Biases, Blind Spots, and Smarter Investing, a ratio of Debt-to-EBITDA exceeding four is usually considered scary unless tangible assets cover the debt.

The historical rank and industry rank for Allied Digital Services's Debt-to-EBITDA or its related term are showing as below:

NSE:ADSL' s Debt-to-EBITDA Range Over the Past 10 Years
Min: 0.48   Med: 1.09   Max: 4.93
Current: 1.81

During the past 13 years, the highest Debt-to-EBITDA Ratio of Allied Digital Services was 4.93. The lowest was 0.48. And the median was 1.09.

NSE:ADSL's Debt-to-EBITDA is ranked worse than
61.74% of 1725 companies
in the Software industry
Industry Median: 1.09 vs NSE:ADSL: 1.81

Allied Digital Services  (NSE:ADSL) Debt-to-EBITDA Explanation

In the calculation of Debt-to-EBITDA, we use the total of Short-Term Debt & Capital Lease Obligation and Long-Term Debt & Capital Lease Obligation divided by EBITDA. In some calculations, Total Liabilities is used to for calculation.


Be Aware

A high Debt-to-EBITDA ratio generally means that a company may spend more time to paying off its debt.

According to Joel Tillinghast's BIG MONEY THINKS SMALL: Biases, Blind Spots, and Smarter Investing, a ratio of Debt-to-EBITDA exceeding four is usually considered scary unless tangible assets cover the debt.


Allied Digital Services Debt-to-EBITDA Related Terms


Allied Digital Services Debt-to-EBITDA Historical Data

* Premium members only.

The historical data trend for Allied Digital Services's Debt-to-EBITDA can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Allied Digital Services Debt-to-EBITDA Chart

Allied Digital Services Annual Data
Trend Mar17 Mar18 Mar19 Mar20 Mar21 Mar22 Mar23 Mar24 Mar25 Mar26
Debt-to-EBITDA
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.48 0.59 0.89 0.96 1.81

Allied Digital Services Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Debt-to-EBITDA Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.84 0.00 1.03 0.00 -8.44

NSE:ADSL vs IBM, ACN, FISV: Debt-to-EBITDA Comparison

For the Information Technology Services subindustry, Allied Digital Services's Debt-to-EBITDA, along with its competitors' market caps and Debt-to-EBITDA data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Allied Digital Services Debt-to-EBITDA vs Software Industry

For the Software industry and Technology sector, Allied Digital Services's Debt-to-EBITDA distribution charts can be found below:

* The bar in red indicates where Allied Digital Services's Debt-to-EBITDA falls into.


NSE:ADSL
78GF Score
Allied Digital Services Ltd NSE:ADSL
Debt-to-EBITDA is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Allied Digital Services Debt-to-EBITDA Calculation

Debt-to-EBITDA measures a company's ability to pay off its debt.

Allied Digital Services's Debt-to-EBITDA for the fiscal year that ended in Mar. 2026 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(709.5 + 651.1) / 752.9
=1.81

Allied Digital Services's annualized Debt-to-EBITDA for the quarter that ended in Mar. 2026 is calculated as

Debt-to-EBITDA=Total Debt / EBITDA
=(Short-Term Debt & Capital Lease Obligation + Long-Term Debt & Capital Lease Obligation) / EBITDA
=(709.5 + 651.1) / -161.2
=-8.44

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

In the calculation of annual Debt-to-EBITDA, the EBITDA of the last fiscal year is used. In calculating the annualized quarterly data, the EBITDA data used here is four times the quarterly (Mar. 2026) EBITDA data.

Frequently Asked Questions Learn more about Debt-to-EBITDA →
What does a Debt-to-EBITDA of -8.44 mean?
Allied Digital Services (NSE:ADSL) has a Debt-to-EBITDA of -8.44 as of Mar. 2026. Debt-to-EBITDA ratio represents the ratio of total debt to total earnings before interest, taxes, depreciation and amortization. View historical data on Allied Digital Services. Over the past decade, Allied Digital Services' Debt-to-EBITDA has ranged from 0.48 to 4.93. According to the industry distribution chart, Allied Digital Services ranks #1065 out of 1725 companies in the Software industry, placing it in the top 61.7%.
Is Allied Digital Services' Debt-to-EBITDA too high?
Allied Digital Services' current Debt-to-EBITDA is -8.44. Over the past 10 years, this metric has ranged from a low of 0.48 to a high of 4.93. Based on the distribution chart, Allied Digital Services ranks #1065 out of 1725 companies in the Software industry, which is below the industry midpoint. Overall, Allied Digital Services has a GF Score™ of 78/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Allied Digital Services' Debt-to-EBITDA compare to IBM and ACN?
According to the Software industry distribution chart, Allied Digital Services ranks #1065 out of 1725 companies for Debt-to-EBITDA. This places Allied Digital Services in the lower half of its industry. The industry median Debt-to-EBITDA is 1.09. Historically, Allied Digital Services' own Debt-to-EBITDA has ranged from 0.48 to 4.93 over the past decade. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Debt-to-EBITDA for a Software company?
The median Debt-to-EBITDA among Software companies is 1.09, based on 1,725 companies in the industry. Companies in the top quartile (top 25%) have a Debt-to-EBITDA significantly above this median, while those in the bottom quartile fall well below. However, Debt-to-EBITDA should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Debt-to-EBITDA mean?
A high Debt-to-EBITDA can signal that a stock is expensive relative to its fundamentals. Debt-to-EBITDA ratio represents the ratio of total debt to total earnings before interest, taxes, depreciation and amortization. View historical data on Allied Digital Services. For the Software industry, the median Debt-to-EBITDA is 1.09 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Allied Digital Services's current Debt-to-EBITDA is -8.44. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Allied Digital Services stock overvalued right now?
Based on GuruFocus' analysis, Allied Digital Services (NSE:ADSL) is currently considered Significantly Undervalued. The stock's GF Value™ is ₹214.32, compared to a current price of ₹114.64 — trading 46.5% below its estimated fair value. The current Debt-to-EBITDA is -8.44. Allied Digital Services' overall GF Score™ is 78/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Debt-to-EBITDA calculated?
Debt-to-EBITDA is calculated from a company's financial statements. For Allied Digital Services (NSE:ADSL), the current Debt-to-EBITDA is -8.44 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Allied Digital Services (NSE:ADSL) Overvalued in 2026?

Based on GuruFocus' analysis, Allied Digital Services stock appears to be undervalued. The current stock price of ₹114.64 is trading 46.5% below its estimated GF Value™ of ₹214.32. GuruFocus considers Allied Digital Services to be Significantly Undervalued.

Key valuation signals for NSE:ADSL:

  • Debt-to-EBITDA: -8.44
  • GF Value™: ₹214.32 vs. price of ₹114.64 (46.5% below fair value)
  • GF Score™: 78/100 with 4 warning signs

No single metric tells the full story. See the NSE:ADSL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Allied Digital Services Business Description

Other Exchanges 532875:India
Address Vidhan Bhavan Marg, 808, 8th Floor, Plot No. 221/222, Mafatlal Centre, Nariman Point, Mumbai, MH, IND, 400 021
Allied Digital Services Ltd is an Indian-based information technology service and solutions offering company. The company provides a wide range of information technology and consultancy services such as infrastructure services, end-user IT support, IT asset lifecycle, enterprise applications, and integrated solutions. The company has two reportable segments of its business namely: Services and Solutions, of which maximum revenue is derived from Services segment. Geographically the business presence of the firm is seen across the region of India, the United States, and the UK.
78GF Score

Get the complete analysis for NSE:ADSL

Debt-to-EBITDA is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

₹114.64
Price
₹214.32
GF Value